LG invests $435m in solar energy business
January 19, 2016
LG Electronics plans to expand its solar energy business with a multimillion dollar investment to increase its solar panel manufacturing capabilities in South Korea.
LG has signed a memorandum of understanding with the Korean city of Gumi to invest KRW527.2bn (US$435m) to expand the company’s solar cell manufacturing facilities in the city. Adding six production lines to the current eight will increase capacity from 1GW to 1.8GW by 2018 and 3GW – equivalent to the electrical power consumed by one million households – by 2020.
“As a result of this investment, LG’s solar power business will be in a much stronger position to be a dynamic engine for growth moving forward,” said Lee Sang-bong, LG president and head of its energy business centre. “LG has been actively involved in the solar energy business for two decades and we believe that mainstream consumers are more than ready to give solar more serious consideration.”
LG launched its solar business in 1995 and established the energy business centre in November 2014 to oversee its solar, energy storage system and lighting businesses. In August 2015, the company introduced its Neon 2 solar energy system with Cello technology consisting of 12 thin wires instead of three busbars, suitable for homeowners who want to increase the energy production potential within a limited rooftop space. Neon 2 was also recognised with the Intersolar award for photovoltaics last year.
LG Electronics employs 83,000 people working in 128 locations around the world. With 2014 global sales of KRW59.04tn, the Korean company comprises four business units – home entertainment, mobile communications, home appliance and air, and vehicle components – and is one of the leading producers of flat panel TVs, mobile devices, air conditioners, washing machines and refrigerators.